ConvergeNet : Reviewed Condensed Second Interim Results for the twelve months ended 31 August 2014

These reviewed consolidated second interim results of the Group are presented for the twelve months ended 31 August 2014 in accordance with section 3.15 (b) of the JSE Listings Requirements ("Listings Requirements"). As a result of the change in year-end from 31 August to 30 November, the Group is required, in terms of the aforementioned provision of the Listings Requirements, to publish the financial results of the Group for a second interim period covering twelve months of trading.

Shareholders are advised that the corporate actions announced by the Group on or about 8 September 2014 and 27 October 2014 (the "Announcements") have not been incorporated into the results presented herein as those corporate actions are subject to shareholder approval and have not yet become unconditional.

The Announcements detailed, inter alia, the Group's plans to sell its remaining two operating companies, Structured Connectivity Solutions (Pty) Ltd ("SCS") and Andrews Kit (Pty) Ltd ("Contract Kitting") and as a result of this firm intention to dispose of those entities, the cash generating units of SCS and Contract Kitting have been classified as disposal groups held for sale in terms of IFRS 5 "Non-current assets held for sale and discontinued operations". In terms of the requirements of IFRS 5, the Group has presented the assets and liabilities of the disposal groups separately on the face of the statement of financial position and have accounted for these disposal groups by measuring the assets and liabilities of SCS and Contract Kitting at the lower of their carrying values and the fair value of those assets less cost to sell. In addition to the statement of financial position disclosures, the sum of the post-tax profit or loss of the discontinued operations, SCS and Contract Kitting for the 12 months ended 31 August 2014 and year ended 31 August 2013 (restated) is presented as a single amount on the face of the statement of comprehensive income. Shareholders are advised to read these results with the Announcements.